With limited pellet buying and decline in prices of semi finished steel products, some pellet makers have lowered their offers.
Decline in P-DRI prices keep pellet buying low-
- Barbil pellet offers remain unchanged at INR 3,200-3,300/MT (loaded to wagons). However buying interest remains low
- As per pellet railway movement tracked by SteelMint, 14 rakes of pellet were loaded by Jindal Steel & Power, Arya Iron & Steel and Brahmani River Pellets in span of 1st Jan’16-17th Jan’16
- Durgapur based pellet manufacturers have reduced their offers by INR 200/MT W-o-W. P-DRI prices in east India have declined by INR 150/MT in last one week
- Central India pellet offers down by INR 200/MT W-o-W. Raipur pellet offers for Fe 62% are in the range of INR 4,100-4,200/MT (basic)
- Southern India pellet market is more or less stable. Current offers for Fe 63/62% are hovering in the range of INR 4,300-4,350/MT (basic)
Week 4 perspective-
Market participants expect pellet prices may remain at current levels this week provided there is no sharp decline in semi finished steel products.
Indian Pellet Prices as on 18 Jan’16
|
City |
Grade | Prices | W-o-W | M-o-M |
|
(Fe %) |
||||
| Barbil* | 63 | 3,200-3,300 | 0 | +250 |
| Jharsuguda | 63 | 3,900 | 0 | +300 |
| Durgapur | 63 | 3,800-4,000 | -200 | +200 |
| Raipur | 63 | 4,100-4,200 | -200 | +150 |
| Bellary | 62 | 4,300-4,350 | -50 | 0 |
| Kandla | 63 | 4,200 | 0 | +100 |
Basic prices in INR/MT
* loaded to wagons
**delivered
Source: SteelMint Research
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